Giesting Financial Weekly Update
January 11, 2016
A MESSAGE FROM MARK…
WEEKLY QUOTE
"No one is useless in
this world who lightens
the burdens of another."
- Charles Dickens
WEEKLY TIP
Try to contribute the
maximum amount to
your IRA(s) as early as
you can this year, rather
than waiting until the
April deadline. By
doing so, you give
those dollars a little
more time to potentially
grow and compound.
WEEKLY RIDDLE
A man and a woman
wearing very expensive
outfits manage, without
using wheels or any
form of assistance, to
push a 6-ton object
entirely through their
own physical effort.
Under what
circumstances are they
able to do this?
Last week's riddle:
There is an adjective.
When you take away the
whole from it, some still
Two quick reminders:
 Please do not schedule your tax appointment before 2/20/16. 1099’s are not
available or sent out until 2/20, and we are unable to obtain them before that date
 If you have an ACH set up with us for an Old National Bank checking account,
please contact our office with your new banking information
CAN STOCKS REGAIN THEIR FOOTING THIS WEEK?
Investors hope so after a very rough start to 2016. Declining oil prices and disappointing
manufacturing data in both the U.S. and China helped trigger a global selloff: the major
equity indices in Europe and Asia fell between 5-9% last week with our benchmarks
following suit. The Dow Jones Industrial Average lost 6.19% in five days to 16,346.45,
paralleled by a 6.13% fall for the S&P 500 to 1,922.03 and a 7.27% descent for the Nasdaq
Composite to 4,643.60. The week ended with the S&P 9.8% below its May 2015 peak, and
with Wall Street hoping for some stability and a decent Q4 earnings season.
1,2
292,000 NEW HIRES IN DECEMBER
The Labor Department's latest employment report affirmed the durability of the U.S.
economy. Last month's impressive payroll growth was complemented by upward revisions to
hiring totals for October (307,000) and November (252,000). Economists surveyed by
the Wall Street Journal had expected 210,000 new jobs in December. The U-3 and U-6
jobless rates remained at 5.0% and 9.9% last month. Year-over-year wage growth rose to
2.5%.
3
FACTORY SECTOR CONTRACTS FOR ANOTHER MONTH
In December, the Institute for Supply Management's manufacturing PMI remained under 50,
slipping 0.4 points lower to a reading of 48.2. ISM's service sector PMI declined 0.6 points
last month, but still showed strong sector growth at 55.3.
4
GOLD PRICES CLIMB, OIL PRICES SLIDE
Rallying in the flight to safety that occurred last week, COMEX gold settled Friday at
1,097.90. The yellow metal gained 3.6% in five trading days. NYMEX crude ended the week
at its lowest close since 2005 – just $33.16, a price resulting from a 10.0% five-day decline.
5
THIS WEEK: Earnings season starts Monday evening with Q4 results from Alcoa. Nothing
major is slated for Tuesday. Wednesday, a new Federal Reserve Beige Book appears, plus
Q4 results from SuperValu. Earnings from Intel, JPMorgan Chase, and Rocky Mountain
Chocolate Factory arrive Thursday. Friday offers earnings from BlackRock, Citigroup,
Fastenal, PNC Financial Services, Wells Fargo, Regions Financial, and U.S. Bancorp, the
remains. What adjective is
this?
Last week's answer:
Wholesome.
initial January University of Michigan household sentiment index, the December PPI, and
reports on December industrial production and retail sales.
% CHANGE
Y-T-D
1-YR CHG
5-YR AVG
10-YR AVG
DJIA
NASDAQ
S&P 500
-6.19
-7.27
-6.13
-8.72
-1.95
-6.79
+8.00
+14.36
+10.23
+4.84
+10.03
+4.90
REAL YIELD
1/8 RATE
1 YR AGO
5 YRS AGO
10 YRS AGO
10 YR TIPS
0.65%
0.41%
0.98%
2.05%
Sources: investing.com, bigcharts.com, treasury.gov - 1/8/161,6,7,8
Indices are unmanaged, do not incur fees or expenses, and cannot be invested into directly. These returns do not include dividends. 10-year
TIPS real yield = projected return at maturity given expected inflation.
Please feel free to forward this article to family, friends or colleagues.
If you would like us to add them to our distribution list, please reply with their address.
We will contact them first and request their permission to add them to our list.
And remember, we’re here to serve, so please let us know how we may best serve you – and
feel free to refer a friend!
This material was prepared by MarketingPro, Inc., and does not necessarily represent the views of the presenting party, nor their affiliates. This
information has been derived from sources believed to be accurate. Please note - investing involves risk, and past performance is no guarantee of
future results. The publisher is not engaged in rendering legal, accounting or other professional services. If assistance is needed, the reader is advised
to engage the services of a competent professional. This information should not be construed as investment, tax or legal advice and may not be relied
on for the purpose of avoiding any Federal tax penalty. This is neither a solicitation nor recommendation to purchase or sell any investment or
insurance product or service, and should not be relied upon as such. All indices are unmanaged and are not illustrative of any particular investment.
The Dow Jones Industrial Average is a price-weighted index of 30 actively traded blue-chip stocks. The NASDAQ Composite Index is an
unmanaged, market-weighted index of all over-the-counter common stocks traded on the National Association of Securities Dealers Automated
Quotation System. The Standard & Poor's 500 (S&P 500) is an unmanaged group of securities considered to be representative of the stock market in
general. It is not possible to invest directly in an index. NYSE Group, Inc. (NYSE:NYX) operates two securities exchanges: the New York Stock
Exchange (the "NYSE") and NYSE Arca (formerly known as the Archipelago Exchange, or ArcaEx®, and the Pacific Exchange). NYSE Group is a
leading provider of securities listing, trading and market data products and services. The New York Mercantile Exchange, Inc. (NYMEX) is the
world's largest physical commodity futures exchange and the preeminent trading forum for energy and precious metals, with trading conducted
through two divisions – the NYMEX Division, home to the energy, platinum, and palladium markets, and the COMEX Division, on which all other
metals trade. Additional risks are associated with international investing, such as currency fluctuations, political and economic instability and
differences in accounting standards. This material represents an assessment of the market environment at a specific point in time and is not intended
to be a forecast of future events, or a guarantee of future results. Past performance is no guarantee of future results. Investments will fluctuate and
when redeemed may be worth more or less than when originally invested. All economic and performance data is historical and not indicative of
future results. Market indices discussed are unmanaged. Investors cannot invest in unmanaged indices. The publisher is not engaged in rendering
legal, accounting or other professional services. If assistance is needed, the reader is advised to engage the services of a competent professional.
Citations.
1 - investing.com/indices/major-indices [1/8/16]
2 - bloomberg.com/news/articles/2016-01-08/u-s-index-futures-signal-rebound-as-yuan-fixing-soothes-nerves [1/8/16]
3 - news.morningstar.com/all/dow-jones/us-markets/201601085057/us-job-market-closed-2016-on-strong-note.aspx [1/8/16]
4 - briefing.com/investor/calendars/economic/2016/01/04-08 [1/8/16]
5 - 247wallst.com/investing/2016/01/08/the-4-stocks-that-weighed-on-the-djia-friday-2/ [1/8/16]
6 - bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=1%2F8%2F15&x=0&y=0 [1/8/16]
6 - bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=1%2F8%2F15&x=0&y=0 [1/8/16]
6 - bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=1%2F8%2F15&x=0&y=0 [1/8/16]
6 - bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=1%2F7%2F11&x=0&y=0 [1/8/16]
6 - bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=1%2F7%2F11&x=0&y=0 [1/8/16]
6 - bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=1%2F7%2F11&x=0&y=0 [1/8/16]
6 - bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=1%2F9%2F06&x=0&y=0 [1/8/16]
6 - bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=1%2F9%2F06&x=0&y=0 [1/8/16]
6 - bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=1%2F9%2F06&x=0&y=0 [1/8/16]
7 - treasury.gov/resource-center/data-chart-center/interest-rates/Pages/TextView.aspx?data=realyield [1/8/16]
8 - treasury.gov/resource-center/data-chart-center/interest-rates/Pages/TextView.aspx?data=realyieldAll [1/8/16]
Mark Giesting, ChFC
Owner and Principal Financial Adviser
4A East Boehringer St., Batesville, IN 47006
Phone: 812-933-1791
mgiesting@giestingfinancial.com www.giestingfinancial.com
DISCLAIMER: This e-mail and any files transmitted with it are private, confidential and solely for the use
of the intended recipient. It may contain material that is legally privileged, proprietary or subject to
copyright belonging to the sender or its related parties, and it may be subject to protection under federal or
state law. If you are not the intended recipient, you are notified that any use, distribution or copying of the
message is strictly prohibited and may subject you to criminal or civil penalties. If you received this
transmission in error, please contact the sender immediately by replying to this e-mail and delete the
material from any computer. Please do not leave trade instructions via email as we cannot honor them.
DISCLOSURE: Giesting Financial is not owned or controlled by the cfd Companies. Adviser not licensed in
all States. Advisory Services are Provided through Creative Financial Designs, Inc., a Registered Investment
Adviser, and Securities are Offered through cfd Investments, Inc., a Registered Broker/Dealer, Member
FINRA & SIPC, 2704 South Goyer Road, Kokomo, IN 46902 765.453.9600